I am not doing the 3.6 FORM deal

[Sandra Koutsopoulos]

Thank you to those of you on the leading edge of trying out this 3.6. It is clearer with every posting that what we are asked to do is not to find market value for lending or any other purpose. We are asked to be the eyes and inspectors of all kinds of things which are not necessary to discern to come to a value conclusion.

So we are expected/required to be house inspectors AND data collectors AND value determiners. It's just too much, and like the prev poster says, the liability if you're wrong could end up in a lawsuit, and THEN how much will your E&O cost?

The more I hear about the nitty-gritty of the 3.6, the more my decision not to play that game is confirmed. If I were psychic, I'd say there's going to be all kinds of unanticipated consequences if FNMA & Freddie REQUIRE this mash-up monstrosity.

As an aside, I read a story yesterday where ppl were stating what their jobs were and how much they were paid, and it was embarrassing. We are highly trained, experienced and skilled professionals, and what we actually are paid, considering how sensitive to the real estate and financing ups and downs our income is with feast/famine extremes, no longer reflects professional level earnings, especially if you're doing residential lending work. ....Like the old saying goes, "You'll miss me when I'm gone"...

 

[alebrewer]

Thank you to those of you on the leading edge of trying out this 3.6. It is clearer with every posting that what we are asked to do is not to find market value for lending or any other purpose. We are asked to be the eyes and inspectors of all kinds of things which are not necessary to discern to come to a value conclusion.

Seems to me they're asking appraisers to do just that, Sandra - namely to 'do the analysis'. They're asking other folks to be the eyes and inspectors, right?

 

[shrubberyvaluation]

IF the appeal to disallow technology because it is untrustworthy, then that is a separate narrative from 'cutting fees' and should be couched as such. If the appeal is to not allow folks to 'cut fees' then what does the

Seems to me they're asking appraisers to do just that, Sandra - namely to 'do the analysis'. They're asking other folks to be the eyes and inspectors, right?

I don't think technology should be disalowed, I just can see how bad CU can be with the weird "comps" it spits back that the lender asks me to consider and it seems like AVMs are being used as some gold standard to judge our work.

 

[alebrewer]

I don't think technology should be disalowed, I just can see how bad CU can be with the weird "comps" it spits back that the lender asks me to consider and it seems like AVMs are being used as some gold standard to judge our work.

Oh - absolutely zero disagreement with the 'comps' that CU pulls. It just seems to me that much of the angst being expressed by appraisers is driven by lower fees and less volume, but is couched in terms of poor technology, increased risk, etc.

Look - I've no issue with bemoaning the fact that this industry - the only one I've ever been in - is going away. But the reason it's going away is not because lenders are trying to push us out, or because the GSE's are taking on increased risk. It's a natural progression due to extremely rapid advances in technology. Just like any other industry that has been (or is being) absorbed by technology. I guess what I'm saying is that (IMO) we're not special.

 

[shrubberyvaluation]

Oh - absolutely zero disagreement with the 'comps' that CU pulls. It just seems to me that much of the angst being expressed by appraisers is driven by lower fees and less volume, but is couched in terms of poor technology, increased risk, etc.

Look - I've no issue with bemoaning the fact that this industry - the only one I've ever been in - is going away. But the reason it's going away is not because lenders are trying to push us out, or because the GSE's are taking on increased risk. It's a natural progression due to extremely rapid advances in technology. Just like any other industry that has been (or is being) absorbed by technology. I guess what I'm saying is that (IMO) we're not special.

I don't completely agree. The culture of AMCs taking huge cuts of appraisal fees and using non licensed people for part of the appraisal process I don't think has anything or very little to do with rapid advances in technology. Perhaps the apps make it a little more feasible to use someone with no experience, but we saw all sorts of bogus excuses for this such as appraiser bias for doing it. As far as risk I guess its not as big of a deal as giving me an app and sending me into a hospital to diagnose patients, but its still for a major purchase.

 

[Alsie35]

Alamode sent out the initial Mobile UAD 3.6. There are a few glitches that have to be worked out, but it basically just follows you through the form. But OMG the amount of detail and drop down menus is incredible. Definitely going to take considerable time to do a property. For example for each flooring type, you have to take a photo, etc. And if you miss something...not good.
This is far more complex than the old UAD on the Total app. I could whip through that in no time. Just as the form in the program makes my head hurt, this makes my head hurt.

Once you mark "single family" there are 18 sections you have to go through and enter data. Some fields require photos if you mark "yes." Others don't. Good luck trying to remember that without an app to tell you!!! No way I would want to do this paper and pencil in the field. There would be no way to keep track if you needed a photo or not. Now granted there are some sections you can probably fill in at the desktop and then upload to the app. And there are some sections you could simply ignore while in the field. The biggest problem would be if you had to take a photo. If you skipped that section, and didn't take a photo, it would be back to the property. For example any nearby influences (and there is a long list) you have to take a photo of it. So let's say you are doing a rural property and there is a cornfield across the road. You have to take a photo of the cornfield, state the proximity, and it's affect. Or say the subject is by a school (across the street). Have to take a photo, etc.

In the app if you don't have enough data it warns you with a big red exclamation mark. Then you have to go back and try and figure out what you are missing. Sometimes it is significant, sometimes not. But I had a few red exclamation marks, and honestly I didn't know why. This could be simply a glitch in the program, since this was just released today.

THE UPSHOT....you will need an app. NO WAY you can possibly remember all this crap. And it will be long and tedious in the field. Far more information needed. There are a few things that I don't like, and maybe they will fix them later on. For example in the sketching program I could tap on the room, and automatically take a photo of it and take notes. That didn't work. And that will be a hassle. It means doing the sketch, and then going back and taking photos of everything. That will be a time waster.

I didn't go through every section, but I went through enough to know THIS WILL HAVE A STEEP learning curve.

JUST. SAY. "NO"!

As an aside ... just got my very first (unsolicited) SPAM email from "Aivre.com". Guess what *BLOCKED*

 

[Alsie35]

I can't afford the dental work that comes along with Nashville cubical farm written country music (meth + mountain dew does a number on the teeth).

The quality of the "UAD 3.6 Abomination" ALLEGED 'Appraisals' is gonna be about on a par with the quality of that AI song ....

 

[Alsie35]

Really... I don't understand what the post is about?

Somehow ... I doubt that this answer comes as a surprise to any of the regular denizens of the AF. (At least you're on the side of the Angels when it comes to the "UAD 3.6 Abomination", Fernando ...)

 

[Fernando]

Somehow ... I doubt that this answer comes as a surprise to any of the regular denizens of the AF. (At least you're on the side of the Angels when it comes to the "UAD 3.6 Abomination", Fernando ...)

The post had grammar issues. Must be why I didn't get it.

 

[alebrewer]

The culture of AMCs taking huge cuts of appraisal fees and using non licensed people for part of the appraisal process I don't think has anything or very little to do with rapid advances in technology.

Fair enough, but is it illegal? I mean - again - I hate it too, but people have been *&$(!@# over other people for about 6,000 years now. How are we special?

As far as risk I guess its not as big of a deal as giving me an app and sending me into a hospital to diagnose patients, but its still for a major purchase.

My point wasn't really about introducing more risk into the equation. My opinion of appraisals in general is that they're completely useless - unless the loan goes sideways. If the loan is paid off according to the terms agreed, there is zero need for an appraisal (at least from a risk perspective).